McGrath RentCorp (MGRC) 2023 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the McGrath RentCorp fourth-quarter 2023 earnings conference call. (Operator Instructions) This conference call is being recorded today, Wednesday, February 21, 2024.

女士們先生們，謝謝你們的支持。歡迎參加 McGrath RentCorp 2023 年第四季財報電話會議。（操作員說明）本次電話會議於今日（2024 年 2 月 21 日星期三）錄製。

Before we begin, note that the matters the company management will be discussing today that are not statements of historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to the company's expectations, strategies, prospects or targets. These forward-looking statements are not guarantees of future performance and involve significant risks and uncertainties that could cause our actual results to differ materially from those projected. Important factors that could cause actual results to differ materially from the company's expectations are disclosed under Risk Factors in the company's Form 10-K and other SEC filings.

在我們開始之前，請注意，公司管理階層今天將討論的並非歷史事實陳述的事項是 1995 年《私人證券訴訟改革法案》含義內的前瞻性陳述，包括與公司的預期、策略、前景或目標。這些前瞻性陳述並非對未來績效的保證，並且涉及重大風險和不確定性，可能導致我們的實際結果與預測有重大差異。可能導致實際結果與公司預期產生重大差異的重要因素已在公司 10-K 表格和其他 SEC 文件中的風險因素項下披露。

Forward-looking statements are made only as of the date hereof. Except as otherwise required by law, we assume no obligation to update any forward-looking statements. In addition to the press release issued today, the company also filed with the SEC the earnings release on Form 8-K and its Form 10-K for the year ended December 31, 2023.

前瞻性陳述僅在本協議發布之日作出。除非法律另有要求，我們不承擔更新任何前瞻性聲明的義務。除了今天發布的新聞稿外，該公司還向 SEC 提交了截至 2023 年 12 月 31 日止年度的 8-K 表格和 10-K 表格收益報告。

Speaking today will be Joe Hanna, Chief Executive Officer; and Keith Pratt, Chief Financial Officer. I will now turn the call over to Mr. Hanna. Please go ahead, sir.

今天發言的是執行長喬漢納 (Joe Hanna)；和財務長基斯普拉特。我現在將把電話轉給漢納先生。請繼續，先生。

Thank you, Boe. Good afternoon and thank you, everyone, for joining us on today's call. We are pleased to be together today and look forward to providing additional perspective on our strong finish to the year. I will start with some overall comments on our fourth quarter and full-year 2023 performance, and Keith will provide additional detail in his financial review before we open the call up for questions.

謝謝你，鮑。下午好，謝謝大家參加今天的電話會議。我們很高興今天能聚在一起，並期待為我們今年的強勁收官提供更多的視角。我將從對我們第四季度和 2023 年全年業績的一些總體評論開始，基思將在我們開始提問之前在他的財務審查中提供更多細節。

On a total company basis, we delivered strong results in the fourth quarter. Rental revenue increased 19%, sales revenues increased 12% (sic - see press release, "21%"), and adjusted EBITDA grew by 12%. This progress was achieved with the combination of stable modular and storage market conditions and solid execution of our strategy.

就公司整體而言，我們在第四季度取得了強勁的業績。租金收入成長 19%，銷售收入成長 12%（原文如此 - 請參閱新聞稿，「21%」），調整後 EBITDA 成長 12%。這項進展是透過穩定的模組化和儲存市場狀況以及我們策略的堅定執行來實現的。

Along with a good market, our people made all the difference. Without the dedicated work of our teams across the country, we would not have realized these strong results.

除了良好的市場，我們的員工也發揮了重要作用。如果沒有我們全國各地團隊的辛勤工作，我們就不可能取得如此驕人的成績。

Mobile Modular had impressive fourth-quarter performance. Rental revenue increased 37%. Equipment on rent increase for the fourth quarter, both from Vesta equipment integrated into the fleet and augmented with organic growth. Pricing also continue to see healthy gains, with higher new shipment rates driving total fleet pricing positively. We maintained our focus on pricing optimization with solid gains on fleet average pricing as well as pricing on new orders compared to a year ago.

Mobile Modular第四季的業績令人印象深刻。租金收入成長37%。第四季的設備租金有所增加，這兩種設備均來自整合到機隊中的 Vesta 設備，並隨著有機成長而增加。定價也持續健康成長，新出貨率的提高推動了總機隊定價的積極成長。我們繼續關注定價優化，與一年前相比，機隊平均定價以及新訂單定價均取得了穩定成長。

Additionally, the performance of Portable Storage for the quarter was healthy, with a 13% increase in rental revenues. This increase reflected strength and execution as we expanded in the markets where we operate. Our strategy to be a solution provider to our customers yielded results.

此外，本季便攜式儲存業務的表現也很健康，租金收入成長了 13%。這一成長反映了我們在業務所在市場擴張時的實力和執行力。我們成為客戶解決方案提供者的策略取得了成果。

We realized healthy growth with our Mobile Modular Plus and site-related services initiatives. These initiatives provided convenience and value to our customers. In addition, modular equipment sales revenues increased 21% for the quarter. The organization infrastructure we have built to enable custom modular sales gained traction in the market, and our team was more productive.

我們透過 Mobile Modular Plus 和網站相關服務計劃實現了健康成長。這些措施為我們的客戶提供了便利和價值。此外，本季模組化設備銷售收入成長了 21%。我們為實現客製化模組化銷售而建構的組織基礎設施在市場上獲得了關注，我們的團隊也提高了工作效率。

At TRS-RenTelco, rental revenues decreased by 11%, reflecting continued weakness in the computer and semiconductor part of the business. To adjust for the softer market conditions, we reduced purchases of new equipment and sold fleet, reducing our fleet size by $9.5 million during the quarter. Our team was very focused on managing the portfolio effectively in varied market conditions.

TRS-RenTelco 的租金收入下降了 11%，反映出該業務的電腦和半導體部分持續疲軟。為了適應較疲軟的市場狀況，我們減少了新設備的採購並出售了機隊，使我們的機隊規模在本季度減少了 950 萬美元。我們的團隊非常注重在不同的市場條件下有效地管理投資組合。

We continue to work on the Vesta integration during the year. In November, we successfully moved all Vesta transaction and financial systems over to McGrath, and we are now fully integrated. Overall, Vesta has performed very well, and we saw many successes in the combined businesses during the fourth quarter and for all of 2023.

今年我們將繼續致力於 Vesta 整合工作。11 月，我們成功地將所有 Vesta 交易和財務系統轉移到 McGrath，現在我們已完全整合。總體而言，Vesta 的表現非常出色，我們在第四季度和 2023 年全年看到合併後的業務取得了許多成功。

I'm very proud of everything we accomplished in 2023. Integrating Vesta was a lot of extra effort for our teams who tirelessly worked to ensure we achieved all of our internal milestones on time and with success. Simultaneously, we executed well on our growth initiatives, with positive moves in pricing and utilization while also finding opportunities to deploy new fleet.

我對我們在 2023 年所取得的一切成就感到非常自豪。對於我們的團隊來說，整合 Vesta 需要付出很多額外的努力，他們孜孜不倦地努力確保我們按時成功地實現所有內部里程碑。同時，我們的成長計畫執行得很好，在定價和利用率方面取得了積極的進展，同時也尋找部署新機隊的機會。

In addition, we completed three portable storage tuck-in acquisitions, opening some new markets, and increasing density in others. We also grew new modular sales as we continue to position ourselves as a solutions provider to a wider customer base. All of this demonstrated successful execution of our strategy that we implemented over the past few years.

此外，我們也完成了三項便攜式儲存收購，開拓了一些新市場，並增加了其他市場的密度。隨著我們繼續將自己定位為更廣泛客戶群的解決方案提供商，我們也增加了新的模組化銷售。所有這些都證明了我們過去幾年實施的策略的成功執行。

Reflecting on the impressive performance track record for McGrath, none of it would have been possible without the dedication and commitment of our entire McGrath workforce. This is a special company filled with people who truly understand the meaning of service to each other and to our customers. The engagement and level of commitment has been truly inspiring to me, and I'm privileged to lead such a wonderful group of people.

回顧 McGrath 令人印象深刻的業績記錄，如果沒有我們整個 McGrath 員工的奉獻和承諾，這一切都是不可能實現的。這是一家特殊的公司，裡面的員工真正理解為彼此和為客戶提供服務的意義。他們的參與和奉獻精神確實激勵了我，我很榮幸能夠領導如此優秀的團隊。

To everyone, I would like to extend my sincere thank you for a job well done in 2023. You should all be very proud.

我謹對大家在 2023 年所做的出色工作表示誠摯的謝意。你們都應該感到非常自豪。

On January 29, we announced the merger with WillScot Mobile Mini for $3.8 billion. This marks a transformation for McGrath as we become part of a new organization. Our focus will remain on execution of our plans and delivering positive financial results.

1 月 29 日，我們宣布以 38 億美元的價格與 WillScot Mobile Mini 合併。隨著我們成為新組織的一部分，這標誌著麥格拉思的轉變。我們的重點仍然是執行我們的計劃並實現積極的財務業績。

We will not be providing any financial guidance or outlook for 2024. This conference call will address only our fourth quarter and full-year 2023 results. Additional information about the merger will be set forth in the joint proxy statement that we will file together with WillScot.

我們不會提供任何 2024 年的財務指導或展望。本次電話會議將僅討論我們的第四季和 2023 年全年業績。有關合併的更多資訊將在我們與 WillScot 一起提交的聯合委託書中列出。

Now let me turn the call over to Keith.

現在讓我把電話轉給基斯。

Thank you, Joe, and good afternoon, everyone. As Joe highlighted, we delivered strong results in the fourth quarter, driven by the performance in our Mobile Modular and Portable Storage businesses.

謝謝喬，大家下午好。正如喬所強調的那樣，在行動模組化和便攜式儲存業務業績的推動下，我們在第四季度取得了強勁的業績。

Looking at the overall corporate results for the fourth quarter, total revenues increased 21% to $221.6 million, and adjusted EBITDA increased 12% to $87.9 million. During the fourth quarter, we determined that our portable storage business met the accounting standards criteria for separate recognition in the reportable segment. Our discussion today will, therefore, includes separate reviews of both our Mobile Modular and Portable Storage disaggregated segments.

從第四季的整體公司業績來看，總營收成長了 21%，達到 2.216 億美元，調整後的 EBITDA 成長了 12%，達到 8,790 萬美元。在第四季度，我們確定我們的便攜式儲存業務符合在可報告部門中單獨確認的會計準則標準。因此，我們今天的討論將包括對行動模組化和便攜式儲存細分市場的單獨審查。

Turning to review of Mobile Modular's operating performance. As compared to the fourth quarter of 2022, Mobile Modular had an impressive quarter, with adjusted EBITDA increasing 27% to $54.1 million. Total revenues increased 36% to $150.7 million. There were increases across all revenue streams, including 37% higher rental revenues, 50% higher rental-related services revenues, and 21% higher sales revenues.

接下來回顧 Mobile Modular 的營運表現。與 2022 年第四季相比，Mobile Modular 的季度表現令人印象深刻，調整後 EBITDA 成長 27% 至 5,410 萬美元。總營收成長 36%，達到 1.507 億美元。所有收入來源均有所成長，包括租金收入成長 37%、租賃相關服務收入成長 50%、銷售收入成長 21%。

The Vesta modular acquisition was an important contributor to fourth-quarter results and accounted for approximately two-thirds of Mobile Modular rental revenue growth. In addition to the contributions from Vesta, our rental operations experienced strong organic growth across our commercial and education customer bases. Sales revenues increased $7.4 million to $42.3 million, demonstrating execution of our initiative to grow modular sales project.

Vesta 模組化收購是第四季業績的重要貢獻者，約佔行動模組化租賃收入成長的三分之二。除了 Vesta 的貢獻外，我們的租賃業務在商業和教育客戶群中也經歷了強勁的有機成長。銷售收入增加了 740 萬美元，達到 4,230 萬美元，證明了我們發展模組化銷售項目的舉措的執行情況。

We continued our disciplined fleet management on a much larger fleet and achieved a 32% higher average rental equipment on rent, with average fleet utilization of 79.7% compared to 80.5% a year ago. Keep in mind that we have achieved this healthy total fleet utilization while integrating Vesta's fleet, which was utilized in the [mid-70s] at time of acquisition. The average monthly rental rates for the portfolio was 2.75%, which was 4% higher than a year ago, and reflects our focus on pricing optimization as well as healthy market conditions.

我們繼續對規模大得多的車隊進行嚴格的車隊管理，平均租賃設備租金提高了 32%，平均車隊利用率為 79.7%，而一年前為 80.5%。請記住，我們在整合 Vesta 機隊的同時，已經實現了健康的機隊總利用率，該機隊在收購時已於 70 年代中期使用。該投資組合的平均月租金為2.75%，比一年前高出4%，反映了我們對定價優化以及健康市場狀況的關注。

Rental revenues increased by 37%, while inventory center costs increased 29% and depreciation expense increased 37%, resulting in rental margins of 63%, up from 62% a year ago.

租金收入成長了 37%，而庫存中心成本增加了 29%，折舊費用增加了 37%，導致租金利潤率達到 63%，高於一年前的 62%。

Similar to last quarter, I will share additional data that help illustrate our progress with our modular business strategic focus. Fourth-quarter monthly revenue per unit on rent increased 15% year over year to $743. For new shipments, over the last 12 months, the average monthly revenue per unit increased 13% to $1,059. These pricing dynamics are significant positive revenue drivers. As the rental fleet churns, we expect a rental revenue tailwind as the average rental unit pricing for all units on rent moves towards current market rates.

與上季類似，我將分享更多數據，以幫助說明我們在模組化業務策略重點方面的進展。第四季每單位月租金收入年增 15% 至 743 美元。對於新出貨量，在過去 12 個月中，每台平均每月收入成長了 13%，達到 1,059 美元。這些定價動態是重要的正向收入驅動因素。隨著租賃車隊的流失，我們預計租賃收入將出現順風，因為所有租賃單位的平均租賃單位定價將接近目前的市場價格。

Progress with Mobile Modular Plus is embedded in these data points and is an additional growth driver. We continue to make progress with our modular services offerings. For the full-year 2023, Mobile Modular Plus revenues increased to $27.5 million from $19.1 million a year earlier, and site-related services increased to $24.5 million, up from $14.1 million.

Mobile Modular Plus 的進展嵌入在這些數據點中，是額外的成長動力。我們的模組化服務產品不斷取得進展。2023 年全年，Mobile Modular Plus 營收從去年同期的 1,910 萬美元增至 2,750 萬美元，站點相關服務從 1,410 萬美元增至 2,450 萬美元。

As I mentioned earlier, we are now providing Portable Storage information as a separate segment disaggregated from the Mobile Modular segment. So I will now provide a review of Portable Storage in the fourth quarter. Adjusted EBITDA for portable storage was $12.8 million, an increase of 20% compared to the prior year. During the quarter, we saw increases in all revenue streams at Portable Storage, resulting in a total revenue increase of 18% to $27 million.

正如我之前提到的，我們現在將便攜式儲存資訊作為從行動模組化細分市場中分離出來的單獨細分市場提供。因此，我現在將對第四季度的便攜式儲存進行回顧。便攜式儲存的調整後 EBITDA 為 1,280 萬美元，比上年增長 20%。本季度，我們看到便攜式儲存的所有收入來源均有所成長，總收入成長了 18%，達到 2,700 萬美元。

Rental revenues for the quarter increased 13% to $19.8 million, and rental margins were 87%, up from 86% a year earlier. The average monthly rental rate was 4.02%, an increase of 7%, which reflects healthy market conditions. Average rental equipment on rent increased 6%, while average utilization for the quarter was 74.8% compared to 84.9% a year ago.

該季度的租金收入成長 13%，達到 1,980 萬美元，租金利潤率為 87%，高於去年同期的 86%。平均月租金為4.02%，成長7%，反映了健康的市場狀況。平均租賃設備租金成長 6%，本季平均利用率為 74.8%，去年同期為 84.9%。

Turning now to review of TRS-RenTelco. Adjusted EBITDA was $20.7 million, a decrease of 18% compared to last year. Total revenues decreased $6.2 million or 15% to $35.2 million. Rental revenues for the quarter decreased to 11% as we experienced continued softness in semiconductor-related demand. The average monthly rental rate was 4.16%, a decrease of 1%.

現在轉向 TRS-RenTelco 的回顧。調整後 EBITDA 為 2,070 萬美元，比去年下降 18%。總收入減少 620 萬美元，即 15%，至 3,520 萬美元。由於半導體相關需求持續疲軟，本季的租金收入下降至 11%。平均月租金率為4.16%，下降1%。

Average utilization for the quarter was 58.9% compared to 63% a year ago. And rental margins were 41% compared to 42% a year ago. Sales revenues decreased 34% year over year to $5.8 million, with gross profit decreasing to $3.2 million as a result of lower sales revenues and decreased margins.

本季的平均利用率為 58.9%，而去年同期為 63%。租金利潤率為 41%，而一年前為 42%。銷售收入年減 34% 至 580 萬美元，由於銷售收入下降和利潤率下降，毛利下降至 320 萬美元。

To address the challenging business conditions at TRS, we maintained our return on capital discipline. We reduced new equipment capital spending, focused on sales of used equipment, and reduced fleet size based on original cost of equipment from a peak of $398 million at the end of March to use $374 million at the end of December. We continue to make progress with reducing fleet size to better align with demand conditions.

為了因應 TRS 充滿挑戰的業務環境，我們維持了資本回報紀律。我們減少了新設備資本支出，重點關註二手設備的銷售，並根據設備原始成本將機隊規模從 3 月底的峰值 3.98 億美元減少到 12 月底的 3.74 億美元。我們繼續在縮小機隊規模方面取得進展，以更好地滿足需求條件。

The remainder of my comments will be on a total company basis from continuing operations. Fourth-quarter selling and administrative expenses increased $15 million to $54.5 million. The increase primarily reflects the addition of Vesta, higher variable compensation, and $1.7 million of M&A transaction expenses. Interest expense was $12.1 million, an increase of $8 million as a result of higher average interest rates and $317 million higher average debt levels during the quarter, which was primarily the result of funding of our acquisitions.

我其餘的評論將基於整個公司的持續營運。第四季銷售和管理費用增加 1,500 萬美元，達到 5,450 萬美元。這一增長主要反映了 Vesta 的加入、更高的可變薪酬以及 170 萬美元的併購交易費用。利息支出為 1,210 萬美元，由於本季平均利率上升和平均債務水準增加 3.17 億美元而增加了 800 萬美元，這主要是由於我們的收購融資所致。

The fourth-quarter provision for income taxes was based on an effective tax rate of 26.7% compared to 21.8% a year earlier. The increase was primarily due to changes in business mix by [stand].

第四季所得稅撥備基於 26.7% 的有效稅率，而去年同期為 21.8%。成長主要是由於業務結構的變化[站立]。

Turning to our year-to-date cash flow highlights. Net cash provided by operating activities was $95 million compared to $194 million in the prior year. Tax payments related to the gain on sale of Adler Tank Rentals accounted for most of the reduction. Rental equipment purchases, excluding equipment received from recent acquisitions were $230 million compared to $188 million in the prior year.

轉向我們今年迄今的現金流亮點。經營活動提供的淨現金為 9,500 萬美元，而前一年為 1.94 億美元。與阿德勒坦克租賃銷售收益相關的稅款佔了減少的大部分。租賃設備採購（不包括最近收購的設備）為 2.3 億美元，而前一年為 1.88 億美元。

The total cash paid for acquisitions year to date of Vesta, Brekke, Dixie, and Inland was $462 million. Proceeds from the sale of Adler Tank Rentals were $268 million. In addition to significant investments in new fleet and the acquisitions, healthy cash generation allowed us to pay $46 million in shareholder dividends.

年初至今，收購 Vesta、Brekke、Dixie 和 Inland 所支付的現金總額為 4.62 億美元。出售 Adler Tank Rentals 的收益為 2.68 億美元。除了對新機隊和收購的大量投資之外，健康的現金產生使我們能夠支付 4,600 萬美元的股東股息。

At quarter end, we had net borrowings of $763 million, comprised of $175 million notes outstanding and $588 million under our lines of credit, with capacity to borrow an additional $62 million under these lines of credit. The ratio of funded debt to the last 12 months' actual adjusted EBITDA was 2.34:1.

截至季末，我們的淨借款為 7.63 億美元，其中包括 1.75 億美元的未償票據和 5.88 億美元的信貸額度，並有能力根據這些信貸額度再藉入 6,200 萬美元。融資債務與過去 12 個月實際調整後 EBITDA 的比率為 2.34:1。

We are very proud of McGrath's strong fourth quarter and full-year performance. And we are fully focused on solid execution in 2024.

我們對麥格拉斯第四季和全年的強勁表現感到非常自豪。我們完全專注於 2024 年的紮實執行。

That concludes our prepared remarks. Boe, you may now open the lines for questions.

我們準備好的演講到此結束。Boe，您現在可以開始提問了。

(Operator Instructions) Scott Schneeberger, Oppenheimer.

（操作員說明）Scott Schneeberger，Oppenheimer。

Thanks very much. Good afternoon, Joe. Good afternoon, Keith.

非常感謝。下午好，喬。下午好，基斯。

Hi, Scott.

嗨，斯科特。

Hi, Scott.

嗨，斯科特。

Hey, I want to start out -- just volume trends in Mobile Modular, if you could address -- I guess now we haven't broken out, but in Modular and Portable Storage, I understand you're not going to our guidance for 2024. But I'm curious what type of momentum you have as you're exiting 2023? It sounds good, but I just want to get a sense of is that something that can persist or are we near a tail? Thanks.

嘿，我想開始 - 只是移動模組化的數量趨勢，如果你能解決的話 - 我想現在我們還沒有突破，但在模組化和便攜式存儲方面，我知道你不會去我們的指導2024 年。但我很好奇，當你即將退出 2023 年時，你有什麼樣的動力？聽起來不錯，但我只是想了解一下這種情況是否可以持續存在，或者我們已經接近尾聲？謝謝。

Yeah, Scott, let me try to help there and I'll give you a couple of data points. And you can see some of this in the new disaggregated segmentation. We had more equipment on rent in the modular segment. Equipment on rent in the fourth quarter was up 32%.

是的，斯科特，讓我盡力提供幫助，我會給你一些數據點。您可以在新的分類細分中看到其中的一些內容。我們在模組化領域有更多的設備出租。第四季設備租金成長了 32%。

If you look at the increase, obviously, a big portion of that was related to the Vesta acquisition. But if you stripped out the impact of Vesta, our organic growth in the modular fleet was up about 9%. So about a 9% increase on original cost of equipment on rent. So I think that is a good indicator of positive market conditions and positive really work done by our teams.

如果你看一下這一成長，顯然，其中很大一部分與 Vesta 收購有關。但如果剔除灶神星的影響，我們的模組化機隊有機成長約 9%。因此，設備租賃的原始成本增加了約 9%。因此，我認為這是積極的市場狀況和我們團隊所做的積極工作的良好指標。

If you look over in the portable storage side, we also had an increase in equipment on rent. In that part of the business, equipment on rent in the fourth quarter was up around 6%. I would say most of that is related to the M&A that we did during the year 2023. As you may recall, we had three tuck-in acquisitions.

如果你看看便攜式儲存方面，我們的設備租金也有所增加。在這部分業務中，第四季的設備租金上漲了 6% 左右。我想說，其中大部分與我們在 2023 年進行的併購有關。您可能還記得，我們​​進行了三筆收購。

And so what we saw in the fourth quarter was, certainly contribution from the acquisitions we had done, positive conditions in much of the market, slightly positive, but a bit softer conditions in the retail portion of the business. That is not a huge segment for us, but it is a segment we participate in, and we saw a sort of shorter and softer retail contribution in the fourth quarter when compared with the year ago.

因此，我們在第四季度看到的肯定是我們所做的收購的貢獻，大部分市場的積極狀況，稍微積極，但零售業務部分的狀況有點疲軟。這對我們來說並不是一個巨大的細分市場，但這是我們參與的一個細分市場，與去年同期相比，我們在第四季度看到了零售貢獻的縮短和疲軟。

Thanks, Keith, appreciate that. And just one more on the volume theme. Any comments on quoting activity, new order activity, just what you're seeing and hearing from customers out there, large and small. Thank you.

謝謝，基思，很感激。關於卷主題還有一個。關於報價活動、新訂單活動的任何評論，以及您從大大小小的客戶那裡看到和聽到的內容。謝謝。

I would say -- yeah, go ahead. Go ahead, Keith.

我會說——是的，繼續吧。繼續吧，基斯。

Yeah. I would say, again, good activity levels for the fourth quarter. And as we exited the year, business conditions overall are fairly stable.

是的。我想說，第四季的活動水準良好。隨著今年的結束，商業狀況整體相當穩定。

I would agree with that. Stable is a good word.

我同意這一點。穩定這個詞用得好。

Okay. Thanks, guys, on that. And kind of the same question, but now on the pricing front. Appreciate the charts you share, which tells a good story. But it's either you'd like to elaborate on the pricing momentum you have right now, maybe categorize in module or large small project. Any way you'd like to break it out, but just curious what you're seeing overall and with a little bit of detail. Thanks.

好的。謝謝，夥計們，就這一點。同樣的問題，但現在是在定價方面。欣賞您分享的圖表，它們講述了一個好故事。但您要么想詳細說明目前的定價動力，要么按模組或大型小型項目進行分類。任何你想打破它的方式，但只是好奇你所看到的整體和一些細節。謝謝。

Yeah, Scott. I mean, I would say that what we've experienced this year was continued momentum with pricing, and that just went all the way into Q4 for us. So we've been able to continue to increase pricing both in our education and commercial part of the business. And that just follows the trend that we were following the entire year. And I believe it just reflects that there's still room to increase pricing, and we don't see that ending anytime soon.

是的，斯科特。我的意思是，我想說，我們今年經歷的是定價的持續勢頭，這對我們來說一直持續到第四季。因此，我們能夠繼續提高教育和商業部分的定價。這正好符合我們全年關注的趨勢。我相信這只是反映出價格仍有上漲的空間，而且我們認為這種情況不會很快結束。

Thanks, guys. Just a couple more from me. It's good, mobile Modular Plus, site-related services. Maybe some discussion of the product categories where you're having some of the most success. Thanks.

多謝你們。我還有幾個。這很好，移動 Modular Plus，與網站相關的服務。也許可以討論一下您最成功的產品類別。謝謝。

Well with Mobile Modular place, I mean, it's our offering of product inside of the building. So it could be furniture. It could be coffeemakers, water coolers, whatever it is that -- holding tanks, things like that, damage waivers. And we're seeing growth in all of those areas. And so it's been pretty broad-based. And we've been very pleased with the traction that we've gotten within the sales force.

好吧，對於移動模組化場所，我的意思是，這是我們在建築物內部提供的產品。所以它可能是家具。可能是咖啡機、飲水機，無論是什麼——儲水箱之類的東西，損壞豁免。我們看到所有這些領域都在成長。所以它的基礎相當廣泛。我們對我們在銷售隊伍中所獲得的吸引力感到非常滿意。

Site-related services are things that are done outside the building. For somebody who wants more of a turnkey approach, that could be walkways, overhead covers, other types of landscaping or driveways, or whatever somebody wants to have to use when they have the building installed to make it more than just having a trailer delivered. And so we had opportunities to do that in a quarter or two. And it actually was a very nice quarter for us in our site-related services. So those are just some other applications for both of those segments.

與現場相關的服務是在建築物外完成的事情。對於那些想要更多交鑰匙方法的人來說，這可能是人行道、頭頂蓋、其他類型的景觀或車道，或者任何人在安裝建築物時想要使用的東西，使其不僅僅是交付拖車。因此我們有機會在一兩個季度內做到這一點。對於我們的網站相關服務來說，這實際上是一個非常好的季度。這些只是這兩個領域的一些其他應用。

Thanks. Now, for Vesta, congratulations. It looks like all your integration initiatives are now complete, and I know that's a big step. So kudos there. Synergies, if you could remind us, I know that there was some EBITDA synergy run rate, $8 million by 2024. Just maybe a progress report right here at this time at the end of '23, Joe or Keith, about about where you stand with that and if there's any update to what you think you can procure there. Thanks.

謝謝。現在，恭喜灶神星。看來您的所有整合計劃現已完成，我知道這是一大步。所以值得稱讚。綜效，如果你能提醒我們的話，我知道有一些 EBITDA 協同運作率，到 2024 年將達到 800 萬美元。喬或基思，也許在 23 年底的這個時候會有一份進度報告，關於你對此的立場，以及你認為你可以在那裡採購的東西是否有任何更新。謝謝。

Yeah. I would say, Scott, as we really have indicated at the start of journey with Vesta, we're very pleased with the business. We're really pleased with the great work done by the joint teams throughout integration. We feel very good about all of our financial goals, including synergies in terms of what we expected and what we have accomplished to date and the outlook for the business.

是的。我想說，斯科特，正如我們在灶神星之旅開始時所表明的那樣，我們對這項業務非常滿意。我們對聯合團隊在整個整合過程中所做的出色工作感到非常滿意。我們對所有財務目標都感到非常滿意，包括我們的預期、迄今為止所取得的成就以及業務前景方面的協同效應。

Thanks. And just one last one. At TRS, continuing to see a bit cyclical softness, particularly semi-conductors. I guess if you can take us a level deeper on to where you are in that cycle, what you're hearing from those customers, and then maybe just an update on 4G to 5G and trend there. Thanks so much.

謝謝。還有最後一張。TRS 繼續看到週期性疲軟，尤其是半導體。我想您能否讓我們更深入地了解您在這個週期中所處的位置、您從這些客戶那裡聽到的情況，然後也許只是介紹 4G 到 5G 的最新情況以及那裡的趨勢。非常感謝。

Sure. I mean, we've been dealing with this now for most of 2023. We would have expected to come out of this trough by now. And we're hoping that it's definitely the case. I think, usually, these cycles don't last for a significant amounts of time. And in Q4, we saw just continued weakness in that particular sector.

當然。我的意思是，2023 年的大部分時間我們都在處理這個問題。我們本來希望現在就能走出這個低谷。我們希望情況確實如此。我認為，通常這些週期不會持續很久。在第四季度，我們看到該特定行業持續疲軟。

And so I just don't -- I can't speculate on when we think that's going to happen. But with more of the AI initiatives and research going on, we would like to be involved in that and are involved in that. And so that's certainly a bright spot that's out there.

所以我無法推測我們認為這會在什麼時候發生。但隨著更多的人工智慧計劃和研究正在進行，我們希望參與其中並參與其中。所以這肯定是一個亮點。

And then for the continuing 5G, that's been done, I would say, rolled out on a very, very slow basis. And tower modifications and backhaul upgrades and things like that for increased bandwidth to deal with 5G have been methodical, but I would say not in any kind of accelerated basis that we saw in 2023. It was pretty much kind of steady business that we got. I don't see that necessarily changing.

然後對於持續的 5G，我想說，這是在非常非常緩慢的基礎上推出的。塔修改和回程升級以及諸如增加頻寬以應對 5G 之類的事情一直是有條不紊的，但我想說的是，這並不是我們在 2023 年看到的任何加速基礎。我們得到的業務相當穩定。我認為這不一定會改變。

Okay, thanks. That's all from. Good job.

好的謝謝。這就是全部來自。好工作。

Thank you, Scott.

謝謝你，斯科特。

(Operator Instructions) And ladies and gentlemen, that appears to be the last question. Let me now turn the call back over to Mr. Hanna for any closing comments.

（操作員說明）女士們先生們，這似乎是最後一個問題。現在讓我將電話轉回漢納先生以徵求結束意見。

I'd like to thank everyone for joining us on the call today and for your continuing interest in our company. We look forward to speaking with you again in late April to review our first-quarter results.

我要感謝大家今天參加我們的電話會議以及對我們公司的持續關注。我們期待在四月下旬再次與您交談，回顧我們第一季的業績。

Thank you, Mr. Hanna. Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect.

謝謝你，漢納先生。女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。